Vertical Computer Systems, Inc. and Now Solutions Jointly Open an Office in Brazil


FORT WORTH, Texas, January 31, 2005 (PRIMEZONE via COMTEX) -- Vertical Computer Systems, Inc. (OTCBB: VCSY)) and NOW Solutions, Inc. ("NOW Solutions"), a wholly owned subsidiary of VCSY, announced today that they have jointly opened an office in Rio de Janeiro, Brazil.

The Brazilian office was opened in order to provide software development for emPath, NOW Solutions' Human Resources Management System software product. Kent Orgain, NOW Solution's Vice President of Development, will oversee the development of emPath. In addition, Now Solutions intends to adapt emPath into the Portuguese language and to comply with Brazilian laws and market the product through a distribution network to be developed by Luiz Valdetaro, a Brazilian citizen and Chief Technology Officer of VCSY. In addition, the Brazilian office will provide software development services for VCSY's products.

Richard Wade, Chief Executive Officer and President of VCSY, stated: "Both Vertical and Now Solutions are extremely excited about the opportunity to launch emPath in Brazil. We believe emPath will be easily adaptable to the Brazilian market where it can be a very competitive product."

This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. With the exception of historical information contained herein, the matters discussed in this press release involve risk and uncertainties. Actual results could differ materially from those expressed in any forward-looking statement.

About NOW Solutions, Inc.


NOW Solutions, Inc., a wholly owned subsidiary of Vertical Computer Systems, Inc., is a Human Resources Management System (HRMS) software and business solutions provider. A pioneer in HRMS solutions, NOW Solutions provides the capabilities companies need to manage their ever-changing workplace in the face of today's complex requirements through its main product, emPath(r), which consists of a fully secure web based HRMS suite. Recruiting, position control, benefits, absence and attendance tracking, employee reviews, career planning, payroll, employee/manager self-service and a powerful full featured workflow engine to reduce or eliminate paper, are among the many features of emPath(r). NOW Solutions is a respected business partner serving customers throughout the United States and Canada. NOW Solutions' presence can be found in industries including education, for-profit services, healthcare, high technology and communications, insurance, manufacturing, natural resources, not-for-profit, public sector, retail, transportation, and utilities. NOW Solutions has offices in Fort Worth and Toronto to serve its customers. Information on NOW Solutions and its products can be obtained on the World Wide Web at www.nowsolutions.com.

About VERTICAL COMPUTER SYSTEMS, INC.


Vertical Computer Systems, Inc. (OTCBB: VCSY)) is a provider of administrative software, Internet core technologies, and derivative software application products through its distribution network. VCSY's main administrative software product is emPath(r), which is developed and distributed by NOW Solutions, Inc., the Company's wholly-owned subsidiary. VCSY's primary Internet core technologies include SiteFlash, ResponseFlash, NewsFlash, and the Emily XML Scripting Language, which can be used to build web services. Information on Vertical and its products can be obtained on the World Wide Web at www.vcsy.com.

This news release was distributed by PrimeZone, www.primezone.com

NOW Solutions, Inc.
(817) 348-8714
(817) 335-7667 fax
PRinfo@nowsolutions.com

Vertical Computer Systems, Inc.
(817) 348-8717
PRinfo@vcsy.com

SOURCE: VERTICAL COMPUTER SYSTEMS, INC.